On Thursday, the AUD/USD currency pair pulled back from the session highs of about 0.6426 to trade at about 0.6367. The currency pair trades within a descending channel formation in the 60-minute chart. 

The pair has now descended to trade a few levels below the 100-hour moving average line. As a result, the currency pair is moved closer to the oversold levels of the 14-hour RSI.

AUD/USD Fundamentals Overview

From a fundamental perspective, the AUD/USD currency pair trades during a relatively busy period in both markets. On Thursday, the U.S. initial jobless claims for the week ending December 6 increased to 242k, up from the preceding week’s equivalent of 225k, missing the forecasted claim count of 220k.

The producer price index for November exceeded expectations of 0.2% (MoM) with a rate of 0.4%. The (YoY) equivalent also beat 2.6% with a rate of 3%. On the other hand, the producer price index ex-food and energy beat the (YoY) forecast of 3.2% with a rate of 3.4%, while the (MoM) equivalent was in line with the estimate of 0.2%.

In Australia, the Reserve Bank of Australia chose to keep the base interest rate unchanged at 3.35% in line with expectations. On the other hand, the seasonally adjusted employment change for November came in stronger than expected with 35.6k, versus a forecast of 25k.

The seasonally adjusted unemployment rate for the period also beat the forecast of 4.2% with a rate of 3.9%, down from the preceding month’s equivalent of 4.1%. The participation rate for the period missed the expectation of 67.1% with a rate of 67%, down from 67.1%.

AUD/USD Technical Analysis (the 60-min Chart)

Technically, the AUD/USD currency pair trades within a descending channel formation in the 60-minute chart. The 14-hour RSI also supports a bearish bias as it moves closer to oversold conditions.

Therefore, the bears will look to stretch the current pullback towards 0.6334 or lower to 0.6302. On the other hand, the bulls will look to pounce on rebounds at about 0.6395 or higher at 0.6426.

AUD/USD Technical Analysis (the Daily Chart)

In the daily chart, the AUD/USD currency pair trades within a descending channel formation. The 14-day RSI also supports a long-term bearish bias as it edges closer to oversold conditions.

Therefore, the bears will look to ride the current run of declines toward 0.6274 or lower to 0.6179. On the other hand, the bulls will look to pounce on profits at about 0.6459 or higher at 0.6552.